Resumption of the housing market in Britain

Housing prices rose 0.4% in December compared to the previous month in the United Kingdom, an increase of 5.9% a year, according to figures released Thursday by the bank that specializes Nationwide. Although prices are still 12.2% below the peak recorded in October 2007, they returned 8.9% since the lowest reached in February 2009.

The United Kingdom had known, like the United States, a housing bubble that made very little available housing prices especially in large cities such as London. The historically low prices and the easing of access to credit, enhanced by maintaining interest rates at 0.5% since March last, explaining that recovery of the housing market in Britain.

However, we must not expect a sustained recovery in housing demand as the market conditions of employment contiuation to deteriorate, households prefer to wait some encouraging signs in this area and turned again to banks for house purchase. According to Martin Gahbauer, chief economist at Nationwide, "it is likely that we will not encounter any significant movement of the estate in 2010, neither upward nor downward.